Non-custodial Bitcoin-backed lending providing institutional-grade liquidity
Debifi uses a security protocol where all actions must be signed with a private key generated on a separate device app.
Debifi does not store your collateral; it offers a 3 out of 4 multisig solution with keys distributed among trusted parties.
Debifi connects you with independent institutional-grade liquidity providers, offering loans for up to 5 years period.
By borrowing on Debifi, you stay in control of your Bitcoin, with a multisig escrow system in place, you avoid collateral rehypothecation and have the highest level of transparency and security.
Explore the full potential of your Bitcoin with borderless stablecoin and fiat loans!
Loans issued by institutional lenders. Everyone can become a borrower.
At Debifi, taking out a loan doesn't mean losing touch with your Bitcoin. Our multisig escrow system ensures your collateral is dedicated to securing your loan.
With Debifi, the security of your Bitcoin-backed loan is the main priority. Initiate your loan contracts safely and efficiently through the Debifi App.
Repaying your loan is straightforward and secure. The borrower sends the loan amount plus interest directly to the lender's wallet.
Earn attractive margins by lending stablecoins and fiat globally, secured by Bitcoin. Avoid risk with over-collateralized loans, 3 margin call system, automatic liquidations, and high-security protocol.
On Debifi, your money is backed by one of the safest assets - Bitcoin. Lend on Debifi and have full transparency and control over the collateral asset, ensured by a multisig escrow system.
Explore the full potential of Bitcoin-backed loans!
Debifi acts as a global lenders aggregator.
Any financial institution in the world can become a lender and compete with others in the free market.
Lenders and borrowers are voicing strong support for Debifi. Their testimonials point to quick payouts, fair terms, and a smooth, reliable way to unlock Bitcoin’s value.
Debifi is built by Bitcoiners, for Bitcoiners. The team brings over seven years of experience working exclusively on other Bitcoin-only projects. Debifi aims to lead the Bitcoin loan space, and comparing its features to those of competitors highlights its distinct advantages.
Feature | Typical Competitors | |
---|---|---|
Custody | Pure multisig escrow | Often custodial/mixed |
Loan Flexibility | Short-to-long term, flexible | Usually fixed-term options |
Bitcoin-native philosophy | Fully Bitcoin-focused | Multi-coin, less specialized |
Rehypothecation | Strictly none | Usually none, but not always transparent |
Minimum loan amount | Flexible loans, no minimum | Often high minimums for institutions |
Selling an asset like Bitcoin results in capital gains taxes, which can significantly reduce the net proceeds from the transaction, as you must pay the amount due from the principal profit.
Instead of selling, many Bitcoin holders are choosing to take out cash loans backed by their Bitcoin holdings. This strategy allows investors to avoid triggering a taxable event while maintaining long-term exposure to Bitcoin’s potential upside. It is a method widely recognized among seasoned investors for its role in capital preservation and strategic tax mitigation, underscoring Bitcoin’s unique strength as high-quality collateral.
By leveraging Bitcoin-backed loans, investors can navigate economic uncertainty and persistent inflation with greater flexibility. These loans are becoming an increasingly attractive tool for experienced Bitcoin holders seeking financial stability, liquidity, and improved outcomes in a challenging macroeconomic environment. By spending borrowed funds rather than the bitcoin themselves, you gain access to funds to cover expenses or other needs without compromising your investment strategy.
Understanding the key differences between selling your Bitcoin and using it as loan collateral is essential.
The idea of loans taken against assets is not new, such transactions are common in many investment vehicles, notably property and precious metal markets.
The ability to retain control of your Bitcoin and access funds to cover any expenses you may have is invaluable.
Features | Bitcoin Backed Loans | Selling BTC |
---|---|---|
Keep long-term BTC exposure | Yes, you keep your Bitcoin | No, you lose Bitcoin exposure |
Immediate liquidity | Yes | Yes |
Avoid potential capital gains taxes | Yes, typically no tax event | No, usually triggers taxes |
Retain BTC’s upside potential | Yes | No |
Protection from forced selling at low prices | Yes, your assets are safeguarded from selling at market lows | No, exposed to the risk of selling at unfavorable prices |
As with any product, Bitcoin-collateralized loans appeal to a broad range of borrowers. Each holder of Bitcoin has distinct advantages that are tailored to their specific financial goals.
Here’s a breakdown of some common borrower types:
Transparent and custom-tailored loan terms continue to boost the appeal of Bitcoin-collateralized loans. Borrowers have the flexibility to adjust loan parameters to match their individual risk tolerance and financial situation.
Essential features include:
A traditional loan is a form of financing provided by a bank or financial institution, typically requiring a credit check, income verification, and collateral such as property or assets. The approval process is often lengthy and regulated.
A crypto-backed loan allows borrowers to use cryptocurrency - such as Bitcoin - as collateral to receive fiat or stablecoin liquidity. The borrower retains ownership of the crypto, which is returned once the loan is repaid in full. With competitive interest rates and zero fees, they are economical and practical solutions for maintaining liquidity without selling your Bitcoin.
Crypto-backed loans do not require credit checks or income verification. Loan approval is based solely on the value of the crypto collateral.
LTV is the ratio between the loan amount and the value of the cryptocurrency collateral. For example, a 50% LTV means borrowing $50 for every $100 worth of Bitcoin held as collateral. Lower LTVs reduce liquidation risk, while higher LTVs offer greater borrowing capacity with more risk.
Commercial loans are financing products provided to businesses rather than individuals. They are used to fund operations, real estate purchases, equipment, or expansion and may be secured or unsecured based on creditworthiness and collateral.
Interest rates are influenced by the loan-to-value ratio, loan duration, collateral volatility, and platform-specific risk assessments.
Answers to all your questions on our FAQ page